Dah Chong Hong Food Mart will shut down all 28 stores due to operational challenges and external factors, the South China Morning Post reports.

“After careful consideration, DCH has made the decision to cease operations at its 28 DCH Foods retail stores,” a DCH spokesperson told the news outlet.

Local media had earlier reported that the company was issuing termination notices to its staff, citing uncertain external factors and operational challenges.

DCH said it will terminate the DCH Cooking Buddies Membership Program and mobile app, effective April 1. All electronic coupons will also expire on that day.

While regular patrons were saddened by the decision, DCH said it will continue to serve the local community through its sourcing, distribution, and processing operations.

Meanwhile, a Labour Department spokesperson expressed concern over the decision and reminded the company to provide compensation to affected employees.